Acquisition

5th Aug 2005 07:00

Hill & Smith Hldgs PLC05 August 2005 Acquisition of Techspan Systems Hill & Smith Holdings PLC ("Hill & Smith" or the "Company") announces that ithas entered into an agreement to acquire the business and assets of TechspanSystems Limited ("Techspan"), a wholly owned subsidiary of Jarvis plc, for acash consideration of approximately £0.9 million. Techspan, which is based in Aylesbury, is a supplier of electronic informationdisplays to the UK roads market, providing up to the minute information formotorists on such matters as road congestion, accidents and local speed limits.The business designs, manufactures and installs electronic information displaysand other related applications. In the year ended 31 March 2005, draft results indicate that Techspan made aloss before taxation of £1.2 million on sales of approximately £2.0 million. Thebook value of the gross assets being acquired by Hill & Smith amounts to £1.0million. In addition, Hill & Smith is also taking over the lease of the propertyoccupied by Techspan. All of the existing employees of Techspan, including the key members of themanagement team, are transferring to Hill & Smith. The Directors believe that Techspan will complement Hill & Smith's roadinfrastructure business, and that its acquisition will benefit the Group bystrengthening and extending the existing product offering in that sector. David Grove, Hill & Smith's chief executive, commented: "We have bought Techspanbecause it is a highly innovative business in a growing market. With thepressure on to improve transport systems, cope with increased usage and reducecongestion, a market leading business that supplies the latest in electronicsigns will integrate well with our core transport infrastructure businesses." Further information:David Grove, Chief ExecutiveHill & Smith Holdings PLCTel: 0121 704 7430 Edward Carter or Anna McNeilQuantum Freshwater UKTel: 0121 633 7775 EndAugust 5th, 2005 This information is provided by RNS The company news service from the London Stock Exchange

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